3 ms·

I don't think it necessarily needs to invoke a singularity. It just means that the cost of capital is low relative to the value of goods produced. You can find

I don't think it necessarily needs to invoke a singularity. It just means that the cost of capital is low relative to the value of goods produced. You can find examples of this today. If I am a small scale fisherman from a pier, I might be happy to sell my business for one year's revenue. The pole only costs $200, and the vast majority of the value is created through my time and labor. I'll be happy to recieve my annual earnings of say $20,000, sell you the business, buy a new pole and see you out on the pier tomorrow. Inversely, if I run a semiconductor Fab that billions of dollars in construction, the situation might be the opposite because there is a vast amount of value tied up in the infrastructure that is not represented in my earnings number.

Jensson 2y ago
> If I am a small scale fisherman from a pier, I might be happy to sell my business for one year's revenue. The pole only costs $200, and the vast majority of the value is created through my time and labor. I'll be happy to recieve my annual earnings of say $20,000, sell you the business, buy a new pole and see you out on the pier tomorrow. This is a good example, imagine having to spend $200k just to get a fishing pole? That isn't a good thing, that is asset inflation, cheaper assets is better. Many modern evaluations are on that level, you pay a ton and get very little.